--- title: 5 Things That Drive Profit When Doing Price Increases description: 5 things to do to increase the success of a price increase image: http://info.stratinis.com/hubfs/images/PriceIncreases.jpg --- [Skip to content](https://www.stratinis.com/blog/5-things-that-drive-profit-when-doing-price-increases#main-content) [![Stratinis logo](https://www.stratinis.com/hs-fs/hubfs/STRATINIS_LOGO_COLOR.jpg?width=606&height=139&name=STRATINIS_LOGO_COLOR.jpg)Homepage](https://www.stratinis.com) - [Pricing Software](https://www.stratinis.com/pricing-software) - Pricing Expertise - [Pricing Advice & Pricing Expertise](https://www.stratinis.com/pricing-expertise) - Resources - [Downloadable Resources](https://www.stratinis.com/resources) - [Blog](https://www.stratinis.com/blog) - About - [About Stratinis](https://www.stratinis.com/about) - [Contact](https://www.stratinis.com/contact) - [Pricing Software](https://www.stratinis.com/pricing-software) - Pricing Expertise - [Pricing Advice & Pricing Expertise](https://www.stratinis.com/pricing-expertise) - Resources - [Downloadable Resources](https://www.stratinis.com/resources) - [Blog](https://www.stratinis.com/blog) - About - [About Stratinis](https://www.stratinis.com/about) - [Contact](https://www.stratinis.com/contact) ![PriceIncreases.jpg](http://info.stratinis.com/hubfs/images/PriceIncreases.jpg) Pricing price research # 5 Things That Drive Profit When Doing Price Increases ![Stratinis](https://www.stratinis.com/hubfs/favicon.ico) Stratinis May 5, 2017 ![PriceIncreases.jpg](http://info.stratinis.com/hubfs/images/PriceIncreases.jpg) Price increases have the potential of increasing profits significantly. Afterall, a 3% increease in price delivers on average 30% increase in profits (the average company has a 10% profit margin). So why don't everybody just do it? Well, there are some things to do and watch out for when applying price increases: - Understand your brand's health and customers' willingness to pay: if the market place is not willing to pay the increased price then any price increase will be met with heavy resistance. You can gain a lot from e.g. conducting [price research](https://www.pricebeam.com) ahead of the price increase, at least in some key markets, to understand customer's willingness-to-pay. [Spending 5K$](https://www.pricebeam.com/plans) on knowing that your customers are willing to pay 5% is a very good return on investment in most businesses. - Communicate about values of your product/service, before, during, and after your increase helps on acceptance of the price increase. Nobody like a surprise increase. Nor an increase where the don't see the value. So if you have communicated diligently about your value drivers, there will be less resistance. - Train your sales team: if your sales team doesn't support the price increase they will not whole-heartedly defend it when negotiating with the customer. Equip and train the sales team to better handle the price increase. - Have revenue control systems in place: use price management software to make sure that the pocket price (gross price minus discounts minus off-invoice rebates) is respected by your teams, and that any pocket price below corporate guidelines must go through one or more levels of approval. The mere existence of such a system will make sure that you get more/most of the price increase implemented, and not just seeing a gross price increase eroded by a similar increase in sales-led discounting. - Make it a habit: successful companies do price increases every year and condition their customers to that there is nothing extraordinary about price increases.   ## Share this post [mailto:https%3A%2F%2Fwww.stratinis.com%2Fblog%2F5-things-that-drive-profit-when-doing-price-increases](mailto:https%3A%2F%2Fwww.stratinis.com%2Fblog%2F5-things-that-drive-profit-when-doing-price-increases) ## Keep reading ### [![](https://www.stratinis.com/hs-fs/hubfs/images/PriceIncreases.jpg?width=1200&height=799&name=PriceIncreases.jpg) Pricing price research revenue control 8 Ways to Improve the Success of Price Increases](https://www.stratinis.com/blog/8-ways-to-improve-success-of-price-increases) ### [![](https://www.stratinis.com/hs-fs/hubfs/images/International-Customer-Pressure.jpg?width=1200&height=450&name=International-Customer-Pressure.jpg) global key accounts revenue control PriceBeam International Pricing: Understanding Differences](https://www.stratinis.com/blog/monitoring-international-price-differences) [![Stratinis logo](https://www.stratinis.com/hs-fs/hubfs/STRATINIS_LOGO_COLOR.jpg?width=606&height=139&name=STRATINIS_LOGO_COLOR.jpg "Stratinis logo")](https://stratinis.com) --- Copyright © 2026 Stratinis Ltd. 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